What are the real characteristics of a professional negligence claim?
Try these : • Firstly, unlike many claims arising from a commercial relationship, the professional is likely to feel that his expertise and reputation are being challenged . Perhaps irrationally but consistent with human nature, the professional may therefore respond at least initially as though he has been personally insulted. It is less common for this “personal” element to show itself in other commercial disputes. • Secondly most professionals carry professional indemnity (“p.i.”) insurance. This means that a valid claim will almost certainly be paid out, there being the insurance policy to fall back on. On the other hand, the known availability of insurance makes professionals fair game for less scrupulous claimants, especially as most p.i. insurance is written with a substantial excess which may well be lost to the professional in terms of his insurers’ legal fees , win or lose. Also claims whether or not paid out by p.i. insurers may adversely affect the professional’s renewal pr
